COPEC sounds alarm on fuel price increment, warns of surge due to Israel-Hamas-Hezbollah war

Accra, Ghana - The Chamber of Petroleum Consumers (COPEC) has sounded the alarm that fuel prices in Ghana may surge significantly by the end of 2024. This ominous prediction comes on the heels of escalating tensions in the Middle East and the cedi's continued depreciation.

In the first pricing window of October, some Oil Marketing Companies (OMCs) hiked fuel prices, reversing the downward trend observed in the previous four pricing windows. Shell's FuelSave Super petrol now retails at GHS 13.79 per litre, up from GHS 13.49, while FuelSave Diesel has risen to GHS 14.35 per litre from GHS 13.99.

COPEC Executive Secretary Duncan Amoah in an interview with Citi News on Wednesday, October 2, 2024 attributes the impending price hikes to the intensifying geopolitical tensions between Israel, Hamas, and Hezbollah in Lebanon.

Amoah warns that these global events will have a ripple effect on Ghana, forcing consumers to pay more for fuel.

“You could end up paying more than you currently are paying because the Cedi is still depreciating. Israel, Hezbollah, Hamas…the triangle, whatever tensions if they escalate, will simply mean the supply side will be hampered and then demand at this time of the year is likely to surge,'' stated.

“So if demand should go up due to manufacturing and aviation systems connecting, then the expectation will be that global prices or international market prices will go up.''

“Unfortunately for us in Ghana, we don’t have any safety nets to cushion us if they do. From where we sit, there is the possibility that Ghanaians may end the year paying a little more for fuel,'' he added.

Source: Lead News Online